COVID-19: Refocusing Multi-Unit Market Refinance to Support Investments in Housing

CHMC is implementing a new restriction on use of funds as a condition of insurance for market refinance loans. The restriction ensures investments focus on the supply and preservation of multi-unit residential housing in the immediate term.

Effective immediately, refinance proceeds must be used for a permitted purpose in relation to residential housing.

This could include one or more of the following:

  • purchase,
  • construction,
  • capital repairs/improvements (including for increased energy efficiency and accessibility), or
  • securing permanent financing (take-out financing to pay off a short-term construction loan).

Certain other uses may be permitted on a case-by-case basis; however equity take-out or distributions to equity holders will not be permitted.

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